Bond yields traded higher on Tuesday as the data released by CBDT has showed that government's net direct tax collections (including corporate and non-corporate tax) for the fiscal year 2025-26 (FY26) increased by 5.12% to over Rs 23.40 lakh crore as compared to Rs 22.26 lakh crore collected in FY25.
In the global market, 10- year U.S. Treasury yields were higher Monday, investors were worried that the Iran war will push oil and energy prices higher, which could increase overall inflation. Furthermore, Oil prices went up on Monday as traders continued to assess the risk of immediate supply disruptions amid renewed tensions between the United States and Iran.
Back home, the yields on new 10-year Government Stock were trading 4 basis points higher at 7.04% from its previous close of 7.02% on Monday.
The benchmark five-year interest rates were trading flat from its previous close of 6.76% on Monday.
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